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Developers optimistic about Greater Noida decision
Abdul Wasey
New Delhi
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Neeraj Kumar Sharma, CEO, ECNON |
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WITH THE Draft Master Plan for Greater Noida 2021 getting a step closer to approval, property developers are breathing a sigh of relief, hoping that they would be able to resume construction once the National Capital Region Planning Board (NCRPB) gives the proposal a go-ahead.
“It is certainly a huge sigh of relief for all the stakeholders in and around Greater Noida,” said Neeraj Kumar Sharma, CEO ECNON, referring to the statutory committee’s recent approval to the Greater Noida plan. “Though the final clearance from NCRPB is yet to come, this decision has injected some optimism among developers as their investments were at stake for a long time.”
“Even home buyers are happy as the hurdles due to delay in the decision making process seems to end soon,” said Kushal Dev Rathi, Managing Director, ECNON Group. “On builders part, we have witnessed an estimated loss of Rs 500-600 crore due to delay in the projects of Noida Extension road.”
“Clearance of Greater Noida’s master plan 2021 will not only mean revival of stuck housing projects in Noida Extension. It will also give a lease of life to a host of infrastructure projects in much of Greater Noida. The master plan governs about 80 percent of the entire Greater Noida area,” said Sharma.
The final decision on the approval is expected in the third week of July when the the Chief Ministers of Rajasthan, Uttar Pradesh, Haryana and Delhi along with urban development minister Kamal Nath will review the issue at a crucial NCR Planning Board meeting.
If the decision goes in favour of developers, it might prove to be a double bonanza for existing home buyers of the area. “The price won’t be increased for the old customers who are waiting for possession of their flats,” said Rathi.
“The price for the old buyers shall remain unaffected. However new buyers will have to shell out more due to increased property prices,” ECNON ’s Sharma added.
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If the decision goes in favour of developers, it might prove to be a double bonanza for existing home buyers in the area |
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Developers cite three reasons to increase the property prices in Greater Noida. “First, the region faced a sharp slump in demand for housing by an estimated 30 percent compared to the 2010-11 fiscal .This was essentially accentuated not only due to litigations but also recession in the housing industry and the rising material costs. Second reason is that the developers paid a huge sum to land owners as per the Allahabad high court order. Thirdly, with the draft plan all set to get a final nod, it’s time for developers to cover some lost grounds,” said Sharma.
“Talking from a builder’s point of view, we all would try hard to deliver projects on time. We hope that the government policies and authorities would remain helpful. There is always a certain amount of unseen factors that can’t be predicted. No devloper likes to delay the project as it not only gets a penalty but also affects the goodwill of the company,” said Rathi.
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